Another European major withdraws Nord Stream 2 financing


Russia – Wintershall Dea has decided not to pursue or implement any additional gas and oil production projects in Russia, and has written off its Nord Stream 2 financing of approximately EUR 1 billion.

Wintershall Dea’s Chief Executive Officer, Mario Mehren, emphasized that Russian President Vladimir Putin’s war of aggression against Ukraine has shook the foundations of the company’s work in Russia to their core. The heinous attack is causing unimaginable suffering and marks a watershed moment.

As a result, Wintershall Dea decided not to pursue any additional gas and oil production projects in Russia, and to halt all new project planning. The company will immediately cease payments to Russia and write off its Nord Stream 2 financing.

According to recent media reports, Nord Stream 2 has gone under, with the Swiss company behind the pipeline declaring bankruptcy. Following this, Nord Stream 2 has denied the reports, stating: “We cannot confirm the media reports that Nord Stream 2 has filed for bankruptcy. The company only informed the local authorities that the company had to terminate contracts with employees following the recent geopolitical developments leading to the imposition of US sanctions on the company.”

Gazprom International Projects, a subsidiary of Russia’s state-owned gas company Gazprom, owns the Swiss-based company. Uniper, Shell, Wintershall Dea, Engie, and OMV are among Gazprom’s European partners in the Nord Stream 2 project.

Major sanctions

Following the invasion of Ukraine, the US revoked sanctions exemptions for Nord Stream 2 and its corporate officials, effectively killing the project, while Germany halted pipeline approval.

The write-off of financing by Wintershall Dea follows earlier withdrawals from other operators. Shell has decided to exit joint ventures with Russian gas giant Gazprom, including its participation in Nord Stream 2. Furthermore, the Austrian OMV Group has stated that it will reconsider its involvement in the Nord Stream 2 project.

Nord Stream 2 is a 1,200-kilometre pipeline project beneath the Baltic Sea. It was completed in September of last year and is intended to double the flow of Russian gas directly to Germany.